News

October 14, 2008

Saudi Backing Gives CDS Oil & Gas New Momentum In Paraguay

Given the current meltdown in the financial markets, it pays to have cash-rich backers. Investors in CDS Oil & Gas, which has struggled in recent years to make headway with the exploration of its frontier acreage in Paraguay, are hoping there will now be some real advances after the AIM firm’s Saudi shareholders upped their stake in the company to 62.8 per cent and undertook some high level discussions with leading Paraguayan politicians, including the President Fernando Lugo.

PetroSaudi Ltd, an affiliate of PetroSaudi International, made its first investment in CDS a year ago when it bought up the shareholding of Westmount Energy, securing an 8.18 per cent interest. Earlier this month, the Saudi firm acquired the entire share capital of Feltown Assets Inc and Werton Finance from private investors, Jean-Gabriel Antoni and Christo Christidis respectively, plus the shares previously held by RAB Special Situations (Master) Fund. This, it would seem, is part of a Saudi...